For those of you curious what investments actually do well these days, it is hands down the concept of the “Rent by the Week” Apartment / Hotel / Motel Room. This is the single fastest growing segment of the real estate market.
Yesterday, while placing some vending machines in a new area I saw this first hand. What I witnessed is both shocking and depressing at the same time.
Hundreds and hundreds of families jammed into 1 bedroom apartments / old motel rooms that have an average rent of $110 – $135 / week which includes cable tv, kitchenette, maid service once a week, all utilities, and of course the room.
Living conditions at these places resemble living conditions of the older run tenement buildings you see in the movies.
Full families of 4 people will all of their belongings jammed into run down automobiles moving in and out of these places. Most of them you might consider part of the “lower middle income” bracket that were laid off at some point earlier in this recession.
My perspective is that this is a view of things to come in this country, a sobering and depressing reality of how the middle class has been decimated.
Of the business’ that our President and his staff have chosen to invest, only two industries truly shine as stellar examples of Obama’s economic stimulus spending. Gun sales have hit and all time record high prompting some gun manufacturers such as Sturm Ruger to stop taking orders for 6 months while manufacturing tries to catch up. The other is the new boom in tenement living.
Now that’s some economic news he can run on!